A converted sketch entity of a projected curve does not keep the length of the original curve.

If a line or arc is sketched (Figure 1), then projected onto a surface (Figure 2), and then a line in a sketch is created using the "Convert Entities" command using the projected line, the line will appear black and fully constrained (Figure 3) but the endpoints are not actually constrained. For example when the user click-and-drags the endpoints they will move, SolidWorks will realize they are not constrained, and they will turn blue (Figure 4). Can I get confirmation that this is a bug with SolidWorks and not my computer? Example file is attached below.

     Figure 1. A line is sketched

     Figure 2. The line is projected

     Figure 3. A sketch entity is created using "Convert Entities".

     Figure 4. The line endpoints are not properly constrained.

I am running: SolidWorks 2017 SP2.0, Windows 10, on a laptop, 8GB ram, HD Graphics 530 Graphics card, Intel Core i7-6700HQ CPU, with a know SolidWorks - graphics card incompatibility.